Table of Contents
- About This Insurance
- Simple Assessment Form
- Benefits
- Coverage
- Premium Rate
- Return of Premiums
- Real-Case Examples
- F A Q
About This Insurance
While Canada’s public healthcare system covers many needs, families still face financial and emotional challenges when dealing with serious childhood illnesses. Critical illness insurance, by providing a lump-sum payment upon diagnosis, can help fill these gaps and give families peace of mind. This means that if your child is diagnosed by a physician with one of the covered critical illnesses, the insurance company will pay the full coverage amount to you in a single, tax-free payment. To choose the best plan, the following steps should be taken:
- Identify potential risks: Consider your child’s family medical history or physical condition.
- Review plans and coverage limits: Compare the details and exclusions of each policy carefully.
- Select a reputable and experienced company: Evaluate the insurer’s claim payment history and financial stability.
- Periodically review the policy: Adjust coverage as your child’s age, health, or family circumstances change.
When reviewing before purchase, it is essential to pay attention to the following points:
| Point | Importance |
|---|---|
| List of covered illnesses | Check whether common or rare childhood illnesses are included in the coverage. |
| Waiting period | Usually 30 days from diagnosis before the payout is made. |
| Maximum payout amount | Coverage limits can range from $25,000 to $2 million. |
| Limited-pay or lifetime premium | Option to pay premiums for only a few years while maintaining coverage into adulthood. |
| Option to add to parents’ insurance | More affordable coverage but with lower benefit limits. |
Critical illness insurance can be issued from birth; therefore, it is recommended to apply as early as possible to secure better coverage at a lower premium, as the insured person’s age is a significant factor in this regard.
Simple Assessment Form
To choose the best and most suitable insurance and to receive an accurate quote, please complete the form below.
***Why is it important to provide accurate personal information in the insurance form? ***
Benefits
- Tax-free lump-sum payout upon diagnosis
- Pediatric-specific condition coverage
- Flexible use of benefits: treatment, travel, savings, or daily expenses
- Affordable premiums with guaranteed rates
Coverage
Protection Range: $10,000 – $1,000,000
Critical illness insurance for children is available in different formats. You can choose coverage for your child up to age 100, either by paying monthly or annually for the entire period, or by paying premiums for only 20 years and keeping the coverage for the full 100 years.
In addition to the 25 common covered critical illnesses, there are 6 additional conditions specific to children, divided into two categories:
- Option 1: 28 illnesses, including 3 childhood conditions — Autism, Rett Syndrome, and Cystic Fibrosis.
- Option 2: 31 illnesses, including 6 childhood conditions — Autism, Rett Syndrome, Cystic Fibrosis, Type 1 Diabetes, Cerebral Palsy, and Muscular Dystrophy.
Autism
A developmental disorder appearing in early childhood, autism affects communication, behavior, and social interaction. Symptoms may include delayed speech, sensitivity to light and sound, and repetitive behaviors. Early awareness and support are crucial.
Rett Syndrome
A rare genetic neurological disorder primarily affecting girls. Symptoms appear between 5 months and 4 years, including motor skill loss, slowed head growth, language regression, and muscle coordination problems.
Type 1 Diabetes
An autoimmune condition where the pancreas produces little or no insulin. Common in children and teens, it requires daily insulin and constant monitoring. Symptoms include fatigue, frequent urination, unusual thirst, and blurred vision.
Cystic Fibrosis
A genetic condition that affects the lungs and digestive system. It causes chronic coughing, frequent infections, poor weight gain, and greasy stools. Ongoing treatment can significantly improve quality of life.
Critical illness insurance for children is a valuable safety net, offering both emotional and financial support. It ensures you’re prepared for life’s unexpected turns, so you can focus on what matters most—your child’s health and well-being.
Premium Rate
Premiums are based on the child’s age, gender, and selected coverage amount. For example, $10,000 in coverage may cost as little as $16/month.
Payment choices:
• Lifetime pay
• 10- or 20-year pay (higher monthly cost, shorter commitment)
• Annual payments receive an ~8% discount
Additionally, by paying a higher premium, the full amount of the insurance can be refunded if no illness occurs.
Return of Premiums
In a more comprehensive type of critical illness insurance, the policy works like a savings account. In this case, all premiums paid to the insurance company can be claimed back if no illness occurs or if the policy is canceled.
Payout and claim (tax-free):
- If the policy is canceled after 5 years, the insured can claim 25% of all premiums paid.
- If the policy is canceled after 10 years, the insured can claim 50% of all premiums paid.
- If the policy is canceled after 20 years, the insured can claim 100% of all premiums paid.
Refunds can be used for education, down payments, business funding, or future planning.
Real-Case Examples
Leukemia diagnosis in Artin
I am Narges, the mother of a 10-year-old boy named Artin. I never imagined I would one day have to spend nights beside a hospital bed, worrying about my child’s small, fragile breaths. When the doctors diagnosed leukemia and said that Artin would need long-term hospitalization, my heart sank, and anxiety and fear overwhelmed me. The question that kept repeating in my mind was: “How can I cover all these expenses while also staying by his side?”
In those difficult moments, I remembered the child rider insurance I had purchased for Artin through Rahimian Insurance, after thorough technical and medical review. This policy, with a benefit of $25,000, was designed to help parents stay with their child in critical times without financial worries. At that very moment, some of the burden of anxiety lifted, allowing me to focus on caring for him and being constantly present at his side.
During the weeks of hospital care and my short periods of rest, I often reflected on the true value of this financial support. The $25,000 lump-sum, tax-free benefit enabled us to cover travel and accommodation near the hospital. This support provided not only financial relief but also deep emotional peace for me and my husband, giving us the strength to remain focused and hopeful until our son recovered.
My experience in summary:
- Insured: 10-year-old child (covered under the child rider of the parent’s insurance policy)
- Coverage: $25,000
- Event: Diagnosis of leukemia and the need for long-term hospitalization at the children’s hospital
- Outcome: Claim approved two weeks after submitting medical documents
- Payout: $25,000 lump-sum, tax-free
- Impact: Covered travel and accommodation costs for the parents during the child’s hospitalization, allowing them to remain fully present without financial worries
This experience showed me that insurance is more than a financial contract; it is a true companion in life’s most critical moments—one that enables care without the burden of financial stress.
FAQ
Can critical illness insurance be purchased after diagnosis or before illness?
Critical illness insurance must be purchased before contracting the illness. These policies act as compensatory insurance designed to provide financial support in the event of serious and critical diseases. Therefore, you need to buy the insurance before any illness occurs.
When you purchase critical illness insurance, the insurance company typically sets specific conditions that must be met to receive coverage. These conditions may include a doctor’s diagnosis, medical confirmation, and detailed information about the illness and its diagnosis date.
For better protection against critical illnesses, the best time to buy insurance is when you are in good health and have not yet been diagnosed with any serious condition. Critical illness insurance may cover treatment and care costs and allow you to access the best medical care if illness occurs.
We recommend obtaining this insurance for your entire lifetime. However, you may also choose policies for 10, 20, or 30 years or until retirement. In more comprehensive plans, if you do not use the coverage, you may receive a full refund of all premiums paid to the insurance company.
